Shell blames oil price and BG costs for 72 per cent drop in earnings July 28, 2016 Royal Dutch Shell maintained its dividend today despite recording a massive dip in earnings during the second quarter of 2016, which it blamed partly on the continued weak oil price. The figures Income attributable to shareholders fell by 71 per cent to $1.18bn (£896m) from $3.99bn in the second quarter of last year. Earnings attributable to [...]
Have we seen the end of volatility in the currency markets? July 27, 2016 In the hours after the referendum, sterling suffered its largest ever decline in the era of free-floating currencies. The pound fell from $1.50 just after the polls slammed shut to $1.33 as the count showed the Brexit camp were out in front. Sharp spikes up and down in the value of sterling characterised the referendum campaign. By [...]
Tullow Oil share price rises as it unexpectedly swings to profit July 27, 2016 Tullow Oil shares closed up 2.82 per cent to 204.50p today, after the Africa-focused oil explorer’s first half results smashed expectations. The figures The FTSE 250-listed firm beat expectations for a $196m loss with a net profit of $30m (£23m), up from a loss of $68m last year. This Africa-focused oil explorer's pre-tax profit rose to $24m from a loss of $10m. Revenue fell [...]
Oil prices plummet as US oil stocks hit fresh record high July 27, 2016 Oil hit a fresh two-month low today, after US government data stoked fears that the market recovery is coming along slower than expected. The US Energy Information Administration said US oil stocks swelled by 1.7m barrels in the week to 22 July, compared to analysts' expectations for a decrease of 2.3m barrels. Gasoline stocks rose by 452,000, dwarfing forecasts for a [...]
No sign of Brexit blues as FTSE 100 hits 12-month high and FTSE 250 back in the black July 27, 2016 Stock markets have soared again today off the back of strong economic data out this morning, reaching new post-referendum highs. The FTSE 100 has climbed to a 12-month high today after data from the Office for National Statistics (ONS) showed the UK economy expanded by 0.6 per cent in the second quarter of the year, ahead [...]
Japan’s Itochu tumbles after being stung by US-based short seller Itochu July 27, 2016 Shares in Japan's Itochu hemorrhaged overnight, after the trading house was targeted by California-based short seller Glaucus. Glaucus alleged that it had inflated its profits, particularly in relation to a $1.5bn investment in a Columbian coal mining assets. It said that Itochu hadn't booked any losses on this, despite turmoil in the thermal coal industry. The company's shares tumbled more than 10 per cent in [...]
City A.M. Unregulated podcast: Trading for millennials – can you get rich quick on the stock market? July 27, 2016 Millennials are the left behind generation – they can't afford property, their savings are doing nothing and they're going to work until they drop. Time to get proactive? This week we're joined by 25-year-old Aaron Fifield, the host of the Chat With Traders podcast, and Triforce Trader Matthew Owens, also 25, to discuss whether trading on [...]
How to invest in a recession – staycations and drinking at home will become trendy again if there’s a downturn July 27, 2016 One month on from the Brexit vote and the UK economy seems in a precarious state. Economic activity is slowing, and economists have warned there’s a risk of a recession this year. The out vote has, in the International Monetary Fund’s words, put a spanner in the works. The value of the pound has fallen too, [...]
The World Bank has hiked its 2016 forecast for oil again July 26, 2016 The World Bank has remained upbeat on the outlook for oil prices, despite fears that the market recovery will take longer than expected. The international organisation hiked its forecast for crude this year to $43 per barrel, up from $41 in April. It cited a string of unanticipated supply outages and robust demand in the second [...]
Wood Mackenzie: More oil firms on track to live with $40 crude July 26, 2016 Cost cuts mean a growing number of oil firms will stop bleeding cash this year with crude at $40 per barrel, according to energy consultancy Wood Mackenzie. This is good news for them, as the black stuff has been hovering around $45 due to oversupply concerns. Read more: This chart shows why UK North Sea strikes [...]